BAT Kenya Faces Delay in New Nicotine Pouch Product Launch

BAT by 2FIRSTS.ai

May.07.2024

BAT Kenya Faces Delay in New Nicotine Pouch Product Launch

BAT Kenya's new nicotine pouch production delayed due to lack of regulatory approval, impacting $23.7 million factory operations.

According to the African media outlet BusinessDaily Africa, on May 7, the Kenyan branch of the British American Tobacco Company (BAT) is unable to meet the growing demand for its new nicotine pouch product due to a lack of approval from regulatory authorities. This has resulted in a delay in the operation of their 2.5 billion Kenyan Shilling (approximately 23.7 million US dollars) factory, which was intended to produce new products for the African market.

BAT Kenya noted in its annual report that despite strong performance in the local market, the supply chain was disrupted at the end of last year due to the factory still not being operational.

BAT Kenya stated in a report that, "We plan to expedite the reduction of tobacco hazards in 2023 and reintroduce our nicotine pouch products in the Kenyan market by 2022. However, by the end of the year, our supply of nicotine pouches in the Kenyan market was disrupted due to regulatory uncertainty. This also affected the commercialization of our modern oral nicotine products manufacturing facility."

In 2019, the cigarette manufacturer BAT launched its nicotine pouch brand Lifyt in the Kenyan market for the first time. However, it was banned because it was classified as a pharmaceutical product rather than a tobacco product. The ban was lifted in 2022 after the nicotine pouches were agreed to be classified as tobacco products by the Tobacco Control Committee. BAT reintroduced the product to the market in 2023 under a new brand, Velo. Despite various pressures, the new nicotine pouch manufacturing facility is yet to be implemented.

References:

[1] Uncertainty hurts BAT nicotine pouches

Also Read:

[1] Approaching BAT in Market Value: What's Happening in Indian Tobacco Giant ITC Ltd

[2] Discount Promotion for BAT Japan's New GLO Hyper Pro Device

#Legislation #Africa #Kenya #Nicotine pouches #Product

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

5th Circuit Reviews FDA’s Compliance on Small-Business Impact of Vape Rule

A Fifth Circuit panel expressed doubts about whether the U.S. Food and Drug Administration complied with the Regulatory Flexibility Act when issuing its 2021 final rule on premarket tobacco product applications. Vape companies argued the FDA relied on outdated and inaccurate economic data, while the government said the challenged requirements stem from the Tobacco Control Act.

Dec.03 by 2FIRSTS.ai

UK to Implement e-cigarette Product Tax and Stamp Plan from October 1, 2026

HMRC announces e-cigarette tax stamp plan to combat illicit trade starting October 1, 2026 alongside VPD policy enforcement.

Nov.27 by 2FIRSTS.ai

Over 92,000 kg of Nicotine Products Seized at Ambassador Bridge

The Canada Border Services Agency seized 92,270 kilograms of undeclared nicotine products at the Ambassador Bridge over four days, according to a social media post. The confiscated items included vapes, tins, and pouches. Officials stated the seizure helps prevent profits from reaching organized crime groups.

Dec.03 by 2FIRSTS.ai

2Firsts Observation｜Japan Tobacco Opens Ploom Counter at Dubai International Airport with Scent-Based Experience Display

2Firsts observed that Japan Tobacco’s heated tobacco brand Ploom has set up an independent retail counter at Dubai International Airport’s duty-free zone, showcasing its new Ploom AURA device. The counter features an interactive scent-release system that allows consumers to experience flavors through aroma rather than inhalation, offering a new approach to product display in smoke-free environments.